Affair leads to sacking
McDonald’s fires CEO over relationship with employee
Fast movers: McDonald’s board met on Friday and fired the CEO
McDonald’s chief executive Steve Easterbrook has been fired for violating company policy by having a relationship with an employee.
The fast food company’s board said the 52-year-old Briton demonstrated “poor judgment” and voted for his dismissal.
McDonald’s forbids managers from having romantic relationships with direct or indirect subordinates.
Mr Easterbrook, who had been CEO since 2015, admitted in an email to staff to having the “consensual” relationship, describing it as a mistake.
“Given the values of the company, I agree with the board that it is time for me to move on,” he said.
McDonald’s board will release details of his separation package today in a federal filing, according to a company spokesman.
The company did not provide details about the employee with whom Mr Easterbrook was involved.
Mr Easterbrook joined the company in 1993 and became chief executive in 2015 after stints at Wagamama and Pizza Express.
Over the last four years he has overseen a doubling of the company’s share price to around $200 although the burger chain has suffered declining restaurant traffic.
Chris Kempczinski, who recently served as president of McDonald’s USA, was named its new president and CEO.
The company said the change of CEO was unrelated to operational or financial performance.
The decision, however, was seen as indicative of management mood in the #MeToo era.
One analyst said: “Other companies don’t always act on that kind of information or fire their CEO for that, and so it seems like they trying to enforce a pretty strict policy in this situation.”